Saudi Arabia Announces New Electricity and Water Tariff Changes, Sets Start Date

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  • King Salman Bin Abdulaziz has directed a package of financial support measures for citizens ahead of the tariff adjustments
  • Saudi government to raise monthly allowances for public servants, retirees, and social security beneficiaries by 500 riyals
  • Private sector minimum wages for Saudi workers under the Nitaqat programme are also set to increase in two phases

Saudi Arabia has announced adjustments to electricity and water tariffs that will take effect from 1 January 2027, with the Saudi Energy Company and the National Water Company confirming the new pricing structures on their official platforms.

Ahead of the changes, King Salman Bin Abdulaziz, guided by a presentation from Crown Prince and Prime Minister Prince Mohammed bin Salman, approved a series of measures to cushion the financial impact on citizens.

Saudi Arabia sets date for changes to electricity and water tariffs. Photo credit: Brendan Smilalowski, Wung Yu LiangSource: Getty Images

These include a monthly allowance increase of 500 riyals (approximately ₦180,385) for civilian and military employees on civil service scales, retirees, and surviving family members of deceased subscribers under the social insurance system.

Families receiving social security benefits will also receive an additional 500 riyals (approximately ₦180,385) per month.

In the private sector, the minimum wage for Saudi workers counted under the Nitaqat localisation programme will rise in two stages: to 5,000 riyals (approximately ₦1,803,850) after six months, and to 6,000 riyals (approximately ₦2,164,620) after 12 months.

Saudi Arabia: New electricity tariffs

Under the revised electricity structure, residential consumption of between 1 and 6,000 kilowatt-hours per month will be charged at 21 halalas per kilowatt-hour, up from 18 halalas. Anything above that threshold rises from 30 to 33 halalas per kilowatt-hour.

A new fixed monthly fee also replaces the previous meter service charges. Households with a circuit breaker capacity of between 20 and less than 100 amps will pay 70 riyals (approximately ₦25,254) monthly, with higher capacities attracting fees of up to 100 riyals (approximately ₦36,077). All announced electricity prices exclude VAT.

Saudi Arabia: New water tariffs

Residential water consumption has been restructured into four billing tiers. The first covers up to 15 cubic metres at 1 riyal (approximately ₦361) per cubic metre for water and 0.5 riyals for sewage.

The fourth and highest tier, for usage exceeding 45 cubic metres, is set at 6 riyals (approximately ₦2,165) per cubic metre for water and 3 riyals for sewage.

A fixed monthly water fee, determined by meter diameter, starts at 20 riyals (approximately ₦7,215) for meters up to 20mm, rising to 100 riyals (approximately ₦36,077) for meters exceeding 100mm.

Saudi Arabia: What an average household can expect to pay

According to figures published by Saudi news outlet Sabq, a family consuming 1,000 kilowatt-hours of electricity per month with a circuit breaker below 100 amps would pay 280 riyals (approximately ₦101,016) — comprising 210 riyals for consumption and a 70-riyal fixed fee — before VAT.

If the same household uses 30 cubic metres of water monthly with a standard meter, their water bill would come to 97.5 riyals (approximately ₦35,175), bringing the combined total to 377.5 riyals (approximately ₦136,191) before tax.

Customers can review their circuit breaker capacity through the Saudi Energy Company's app or monthly bill. For water enquiries, the National Water Company can be reached via its unified number 8004411110, app, or website.

Legit.ng reported that Saudi Arabia published the salary levels that foreign professionals need for permanent residency.

In a related story, Legit.ng reported that Saudi Arabia had raised its minimum wage for private sector workers and increased their monthly allowance.

How foreign professionals can get Saudi permanent residency

Meanwhile, Legit.ng previously reported that Saudi Arabia explained how foreign professionals can qualify for permanent residency.

The Saudi government's Special Talent Residency programme targets exceptional professionals working in executive leadership, healthcare, science, and research.

According to the government, the initiative is aimed at strengthening local capabilities through knowledge exchange and investment in human capital.